Section 42-7A-24 - Net proceeds transferred to state property tax reduction fund--"Net proceeds" defined. - South Dakota Statutes

42-7A-24. Net proceeds transferred to state property tax reduction fund--"Net proceeds" defined. Net proceeds from the sale of instant lottery tickets shall be transferred to the state general fund on an annual basis after July first each year. The commission shall maximize the net proceeds to the state from the sale of instant and on-line lottery tickets. In no event may yearly lottery expenses for the sale of lottery tickets, excluding expenditures from retained earnings, exceed the amount of combined net proceeds transferred to the state general fund, the state corrections facility construction fund, and the state capital construction fund. Net machine income from video lottery games shall be directly deposited in the state property tax reduction fund upon receipt. Net proceeds are funds in the lottery operating fund which are not needed for the payment of prizes, lottery expenses, and total retained earnings up to one and one-half million dollars cash deemed necessary by the executive director and commission for replacement, maintenance, and upgrade of business systems, product development, legal and operating contingencies of the lottery.
Beginning in fiscal year 1997 and each year thereafter, the commission shall transfer the first one million four hundred thousand dollars from the net proceeds from the sale of on-line video lottery tickets collected pursuant to § 42-7A-24 to the general fund. The commission shall then transfer an amount equal to the remaining net proceeds from the sale of on-line lottery tickets collected pursuant to § 42-7A-24 to the state capital construction fund created in § 5-27-1.

Source: SL 1987, ch 313, § 24; SL 1988, ch 345; SL 1989, ch 372, § 3; SL 1990, ch 341, § 6; SL 1990, ch 46, § 4A; SL 1993, ch 48, § 4; SL 1993, ch 319, § 1; SL 1996, ch 47, § 2; SL 1997, ch 241, § 1.